<TABLE cellSpacing=0 cellPadding=0 width=452 border=0><TBODY><TR><TD vAlign=top width=452 colSpan=2>Published April 30, 2009
</TD></TR><TR><TD vAlign=top width=452 colSpan=2>Kepland clears air over cash call
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</TD><TD>Feedback</TD></TR></TBODY></TABLE>KEPPEL LAND said yesterday that it did not enter into any negotiations at the beginning of the year, nor was it in any specific early discussions with banks, over a rights issue.
The company had said that there was no need for a rights issue in January during its results briefing. But last week, Keppel Land announced that it was raising $712 million through a rights issue.
Responding to a BT commentary yesterday which highlighted this, Keppel Land said that any suggestions that the company was in early discussions with bankers about a potential rights issues at the beginning of the year, and that such negotiations suggested that a rights issue was an option, 'are erroneous'.
'In the normal course of business, Keppel Land meets with investment banks which would present various funding proposals as part of their business development efforts. Keppel Land had also disclosed that a rights issue was not necessary at its results announcement briefing on 21 January 2009 in response to a question. Had Keppel Land decided to pursue any specific proposal, it would have made an announcement in accordance with SGX-ST Listing Rules,' it said.
'The company is undertaking the rights issue from a position of strength,' Keppel Land added.
It reiterated that with a net debt-to-equity ratio of 0.52 and cash balances of $627.3 million as at March 31, 2009, together with existing credit lines secured, it will meet its refinancing needs.
'The rights issue is pre-emptive and part of the company's long-term strategy to strengthen its balance sheet and proactively enhance its financial capability to be able to quickly take up opportunities.'
</TD></TR></TBODY></TABLE>
</TD></TR><TR><TD vAlign=top width=452 colSpan=2>Kepland clears air over cash call
<TABLE class=storyLinks cellSpacing=4 cellPadding=1 width=136 align=right border=0><TBODY><TR class=font10><TD align=right width=20>
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</TD><TD>Feedback</TD></TR></TBODY></TABLE>KEPPEL LAND said yesterday that it did not enter into any negotiations at the beginning of the year, nor was it in any specific early discussions with banks, over a rights issue.The company had said that there was no need for a rights issue in January during its results briefing. But last week, Keppel Land announced that it was raising $712 million through a rights issue.
Responding to a BT commentary yesterday which highlighted this, Keppel Land said that any suggestions that the company was in early discussions with bankers about a potential rights issues at the beginning of the year, and that such negotiations suggested that a rights issue was an option, 'are erroneous'.
'In the normal course of business, Keppel Land meets with investment banks which would present various funding proposals as part of their business development efforts. Keppel Land had also disclosed that a rights issue was not necessary at its results announcement briefing on 21 January 2009 in response to a question. Had Keppel Land decided to pursue any specific proposal, it would have made an announcement in accordance with SGX-ST Listing Rules,' it said.
'The company is undertaking the rights issue from a position of strength,' Keppel Land added.
It reiterated that with a net debt-to-equity ratio of 0.52 and cash balances of $627.3 million as at March 31, 2009, together with existing credit lines secured, it will meet its refinancing needs.
'The rights issue is pre-emptive and part of the company's long-term strategy to strengthen its balance sheet and proactively enhance its financial capability to be able to quickly take up opportunities.'
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